Question:
With reference to an article about Network 21 (Amway), is this a pyramid scheme? I have friends who have gone big into this 'cult'. I have researched the sites www.merchantsofdeception.com and www.pyramidschemealert.org and it seems little is known about Network 21 in South Africa. I would appreciate any info you could give me.

Answer:
Amway has been unhappy with what I have said about them in the past, but I have not seen any evidence contradicting my opinion.

Amway is a ‘network marketing company’ that started in the USA. They sell legitimate products and are therefore not a pyramid scheme. When they started out in SA they were called ‘Amway’, but have changed their name to Network 21 and now make more use of the internet to sell their concept. They’re all about hype and anyone who has been to one of their presentations will tell you that they focus far more on getting you up and running as a recruiter than on the actual products.

They have scores of books and CDs that they sell you on how to become a marketer and tell you that you will make gazillions of Rands and be able to retire with a yacht in no time. This is where I believe they are not being totally truthful.

Network marketing is not for sissies and very few individuals succeed in the long term. Diehard sales people are the ones who make money, but they would make it in a sales job anywhere. It’s hard work and not a get rich quick scheme. The products are expensive and it requires you to recruit people under you to sell. In the end they make their money from books, CDs and the starter packs of products that they sell to new recruits. If you do a Google search on ‘Amway cult’ or ‘Network 21 cult’ you will see that there is a rising tide of complaints about this organisation. There are also entire books dedicated to the subject.